The New Zealand NZX50 Index fell by 0.8% to 12,166.14 points, reaching its lowest closing level since July of last year, with signs indicating that the country's path to recovery from recession may not be smooth. The index initially rose in early trading on Monday, boosted by strong performance in US stocks over the weekend, but peaked after about two hours and declined for the remainder of the session. Meanwhile, survey results showed that the country's service sector activity contracted in February. The utilities sector was one of the biggest decliners. Mercury NZ, Contact Energy, and Meridian Energy fell between 1.2% and 2.4%. Among the 12 companies with the largest market cap, only infrastructure investment company Infratil rose by 2.2%.